NU Online News Service, Nov. 30, 3:50 p.m. EST
The National Conference of Insurance Legislators unanimously approved an act mandating workers' compensation coverage in the construction industry and establishing penalties for those who try to game the system.
The model, according to NCOIL, mandates workers' compensation in the construction industry with the exception of sole proprietors on residential projects and homeowners, and holds primary contractors liable for the uninsured employees of any subcontractor hired. The legislation establishes auditing procedures, provides penalties for insurance fraud and enhances state enforcement authority.
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